Investment Insights Podcast: Increased Volatility Ahead of Election Day

Hart_Podcast_338x284Chris Hart, Senior Vice President

On this week’s podcast (recorded October 28, 2016), Chris is back with a market update as volatility has picked up in the past week with the election right around the corner.

Quick hits:

  • Over the past week, small and midcap stocks have been especially weak and have been underperforming for the past few weeks.
  • Yields have risen with 10-Year Treasuries under pressure over concerns the Fed is moving closer to a tightening in December.
  • While it’s still early, third quarter earnings have done okay relative to expectations (about 25% of S&P 500 companies reporting).
  • Since 1928, the S&P 500 has predicted 19 of the past 22 presidential election outcomes. If stocks are higher in the three-month period before the election, the incumbent party has generally won and vice versa.*
  • Volatility should continue to trend higher, but the market is not showing signs of a top. Interest rates and inflation remain low.

For the rest of Chris’s insight, click here to listen to the audio recording.

*Source: Strategas Research Partners LLC

The views expressed are those of Brinker Capital and are not intended as investment advice or recommendation. For informational purposes only. Holdings are subject to change. Brinker Capital, Inc., a Registered Investment Advisor.

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